Egypt to keep low-interest mortgage rates for earlier housing applicants: CBE

Egypt’s central bank said Wednesday the government will keep discounted mortgage rates for citizens who previously applied for homes under the Housing for All Egyptians Programme, a flagship initiative that offers low- and middle-income families affordable housing.

The decision, endorsed by the Cabinet on 22 Oct., ensures that earlier applicants will continue to benefit from the initiative’s 3 per cent and 8 per cent declining interest rates, even as the country adjusts its broader lending rates amid ongoing economic reforms.

The Central Bank of Egypt (CBE) said it has instructed lenders to keep those preferential rates in place for applicants who reserved units in the first three phases of the programme, which is managed by the Social Housing and Mortgage Finance Fund.

The move is part of efforts to ease financial pressure on citizens who applied before recent rate changes, helping to shield them from the higher borrowing costs now affecting much of the economy.

The decision comes as Egypt continues to navigate inflationary pressures and tighter monetary policy, balancing fiscal consolidation with the need to support social programmes designed to promote home ownership and economic stability.

Attribution: Amwal Al Ghad English